Policies, Codes & Other Documents
Let not the unpredictable future pose a hurdle in your family's wellbeing. A Term Insurance can help you withstand the uncertainties of life and secure your family's future. Commend your milestones with a term plan to safeguard your loved ones' tomorrow.
Disclaimer: Tata Capital Financial Services Limited (“TCFSL”) bearing License no. CA0076 valid till 31st Mar 2025, acts as a composite Corporate Agent for TATA AIA Life Insurance Company Limited, HDFC Life Insurance Company Limited, TATA AIG General Insurance Company Limited, IFFCO Tokio General Insurance Company Limited and Star Health and Allied Insurance Co Ltd. Please note that, TCFSL does not underwrite the risk or act as an insurer. For more details on the risk factors, terms & conditions please read sales brochure carefully of the Insurance Company before concluding the sale. Participation to buy insurance is purely voluntary.
The Registered office of TCFSL is 11th Floor, Tower A, Peninsula Business Park, Ganpatrao Kadam Marg, Lower Parel, Mumbai 400 013, India.
Term insurance policies provide the predefined amount of money to the policyholder’s family, only if the policyholder dies during a specified term. No claim if the insured person survives till the end of the policy period. This policy essentially remains active for a predefined time and is one of the affordable policies available in the market.
Note* The features above may or may not reflect in the plans sourced by our corporate agents. Please check our plans and their features to know more.
In terms of life insurance, most people are aware that both term insurance, as well as investment plans, offer a life cover. However, they both cater to different needs. While term plans fulfill the need for protection, investment plans fulfill the need for savings. You will be able to choose the right plan for yourself once you identify the differences, the features, and your needs pertaining to each category of life insurance. These factors can help you arrive at the best term insurance policy or make a comparative analysis of term insurance vs an investment plan.
Here are the main points of difference between the two:
The default life insurance coverage provided by most insurers in India is a level term plan. It is the most common type of term insurance plan. In this type of plan, the sum assured selected at the beginning of the policy remains constant throughout the policy term. The lower your age while buying a level term plan the lower will be your premium.
This type of plan offers the facility to increase your sum assured at specific points in the policy term. The rate of this increase is predetermined. This type of plan is a great choice for keeping up with rising prices and ensuring that your family has enough funds to sustain after inflation. An increasing term policy is best suited for you if you predict a considerable rise in your financial liabilities in the future. The tenure for this kind of term plan is usually more than that of other types of term insurance.
As opposed to increasing term insurance, in this case, the sum assured decreases at a predetermined rate as your age increases. It works on the idea that as your age increases, your liabilities might decrease and the need for a higher sum assured too might decrease. It is well suited for you if you have taken a loan or a mortgage and expect to pay it off in the near future.
A new and very popular type of term plan, a return of premium plan, provides you with a savings component, which is generally not offered by term plans. In the event that you outlive your policy term, all paid premiums till the maturity date are returned to you. The return of premium is made only if you haven’t made any claim during the policy term.
A convertible term insurance plan is a policy that can be converted into another type of insurance plan at a later stage; for example, a whole life plan or an endowment plan. If you expect your financial priorities to change in the coming years, you can opt for this type of term plan. For instance, if you are currently risk-averse, but expect to become more flexible in that regard, you can opt for a term plan that can be converted into a whole life plan.
Policies, Codes & Other Documents
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